Question

Journal entries for each transaction

Required information [The following information applies to the questions displayed below.) Vail Resorts, Inc., owns and operates 11 premier year-round ski resort properties (located in the Colorado Rocky Mountains, the Lake Tahoe area, the upper midwest, Vermont, and Australia). The company also owns a collection of luxury hotels. resorts, and lodging properties. The company sells lift tickets, ski lessons, and ski equipment. The following hypothetical December transactions are typical of those that occur at the resorts. a. Borrowed $4,000,000 from the bank on December 1, signing a note payable due in six months. b. Purchased a new snowplow for $90,000 cash on December 31. c. Purchased ski equipment inventory for $36,000 on account to sell in the ski shops. d. Incurred $64.000 in routine repairs expense for the chairlifts; paid cash. e. Sold $371,000 of January through March season passes and received cash. - Sold a pair of skis from inventory in a ski shop to a customer for $630 on account. (The cost of the skis was $300). (Hint: Record two entries.) g. Sold daily lift passes in December for a total of $271,000 in cash. h. Received a $2,500 deposit on a townhouse to be rented for five days in January L. Paid half the charges incurred on account in (c). J. Received $500 on account from the customer in (n. k. Paid $260,000 in wages to employees for the month of December Required: 1. Prepare journal entries for each transaction (If no entry is required for a transaction/event, select "No journal entry required in the first account field.)

Answer 1

Vall resorts Inc. cr. gno. Particulars 4 000 ODO 1 Dec con Ale 400 000 90000 90,000 To Notes pouble (To Record cain Borrowed from Bank) 31 Dec Equipment Dr. To cash k Purchase of snowplow 3 Dr. Invenventory To Accounts payble (To record purchase or druentory 36000 36000 anonts 64000 Repair Expense. 64ooo To can (payment of Repair expenses) carn AIC 370w To Unearned revenue ( sale of season passes ) (e) 371000 (6 630 630 acconts receivables. To salls revenue I To record credit sate) cost of goods sold To inventory. (to record cost of goods sold 300 .

Cr. 271000 particulars Sr. no. 2100 G Cain (g) Tosales nevenue ( ( cash sales ) 2500 2500 Cessn Ale To Unearned revenue Reposit (To record customer Reposits) 18 000 govo (1) * Accounts payble To cash Ale (To rewords cain for Ales payble 500 soo Cash Ale To Accounts Peewable collections from customers) (k) wages Expenses 2,60,000 2,60,000 To cash ( Payment of wages ) half of the Amonit in (C) 36000 늦 - 18000